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I do wonder what the end game looks like to these investors. Patreon doesn't strike me as a company that's going to have a big exit.
by onewaystreet 11y ago
I do wonder what the end game looks like to these investors. Patreon doesn't strike me as a company that's going to have a big exit.
- gizmo686 11y agoEven if Patreon doesn't have a big exit, it could still make a profit, and that profit could then go back to the investors. According to the article, this gives Patreon a $47 million valuation, and Patreon has 17,000 artists. That is only ~$2,800 per current artist. Given that this investment is made with exception of growth, this does not seem like an unreasonable valuation.
- vecter 11y ago$47M isn't their valuation, it's the amount they've raised. No company would raise $30M at a $47M valuation unless they were very desperate.
- hkmurakami 11y agoThe valuation is likely something like $150mm. (20% ownership for the B round post money)
- theklub 11y agoYou don't need a big exit when you actually make money. And since they are middle men for cash exchanges I don't think making money will be too much of a problem.
- onewaystreet 11y agoWith 50 employees in SF I very much doubt that Patreon is anywhere close to being profitable.
- deleted 11y ago[deleted]